US SB1637

Codifies value-based purchasing arrangements in Medicaid, allowing manufacturers to report multiple best price points for a single drug dosage form and strength when the arrangement is offered to all states

Excludes certain refunds, rebates, and payment reductions from average manufacturer price calculations when triggered by patients failing to achieve defined outcomes under value-based purchasing arrangements

Aligns Medicare Part B average sales price calculations with the new Medicaid rules by excluding value-based purchasing remuneration from manufacturer average sales price calculations

Creates a new anti-kickback statute exception for manufacturer remuneration provided to states under value-based purchasing arrangements when patients fail to achieve specified outcomes

Requires HHS to issue guidance within 180 days on value-based purchasing for inpatient drugs under Medicaid and mandates a GAO report by June 30, 2029 on the impact of these arrangements on patient access, health outcomes, and costs